U.S. Shipyards Receive
Contracts For 25 Ships-
January To October '78

On October 10, Levingston
Shipbuilding Company, Orange,
Texas—subsidiary of Ashland Oil,
Inc.—received a milestone $200-
million contract for construction
of five 35,000-dwt self-sustaining
dry-bulk cargo vessels. (See MARITIME
REPORTER/Engineering
News issue of November 1, 1978.)
Only three new dry-bulk carriers
have been built in the U.S. since
1960.

Levingston Shipbuilding is
scheduled to deliver the vessels,
designed by Ishikawajima-Harima
Heavy Industries (IHI) Co., Ltd.
of Japan, at six-month intervals
starting December 31, 1980. CDS
rate was set at 49.05 percent.
Under a separate research and
development contract, the yard
will match $1.2 million from the
Maritime Administration to employ
IHI as the major subcontractor
for the purpose of providing
production and technology
guidance.

These dry-bulk ships will be
owned by Levingston Falcon Shipping
Company, Orange, Texas,
and bareboat chartered for 20-
years to Equity Carriers, Inc.,
New York, N.Y., for worldwide
trading, principally in the carriage
of grain, sugar, wood and
iron products between Gulf Coast
ports and the Far East.

With the above project, U.S.
shipbuilders have so far in 1978
received contracts for construction
of 25 merchant vessels of
1,000 gross tons and over, including
the following: two 31,000-dwt
tankers, one 61,000-dwt Great
Lakes ore carrier, one 32,000-dwt
Great Lakes ore carrier, two
42,000-dwt tankers, one 27,000-
dwt containership, four hopper
dredges, three tuna purseiners,
and six ferryboats.

Also, a contract for construction
of four medium-endurance
U.S. Coast Guard cutters was
awarded at the start of the year.
Prospects for other awards in
the near future include up to ten
40,000-dwt oceangoing tug-barge
vessels, two of which would in
involve
CDS. In addition, by yearend,
American President Lines,
Ltd., San Francisco, Calif., is expected
to place CDS contracts for
construction of three new containerships,
and conversion of
f o u r existing breakbulk cargo
ships to containerships. Delivery
of the first new APL vessel is
planned for 1983.

As to Naval shipbuilding, commitments
against continuing pro-
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On October 13, Lockheed Shipbuilding
& Construction Co., Seattle,
Wash., was awarded a
$3,000,000 contract for the design
support of a new class of
dock landing ship (LSD-41).
As in 1977, U.S. shipbuilders
continue to lead the world in volume
of new contracts for jackup
offshore drilling rigs — 17 have
been ordered since the start of
1978.